The corporate board of the 21st Century
will not look like the boards of years past. Following a wave of scandals
and ensuing corporate governance reforms, the corporate board is going
through a sweeping transformation set to make it more independent,
active and engaged.

The core of
this transformation is board composition. Boards are
taking steps to become more independent, spurred by both investor
pressure and new legal frameworks like the Sarbanes-Oxley Act and
revised listing standards at major stock exchanges. At the same
time, sitting board directors face greater responsibilities, time
commitments
and personal liability, and many are limiting the number of boards
on which they serve. By one estimate, 15% of sitting directors
of U.S. public companies will relinquish their seats over the next
year – three
times the normal turnover rate.

To recruit new independent directors,
corporate boards will need to look beyond conventional sources. Yet simply finding greater numbers
of independent candidates is not enough. Boards want highly qualified
individuals with the experience and skills to make a contribution
to the company and an ability to make the board itself more effective.
Finding well-qualified independent directors with the right combination
of interpersonal skills, relevant expertise and leadership qualities
is a critical task that requires a specialized approach.

->Dick Parsons, Chairman & CEO of Time Warner said: "As board members of leading companies, the Directors' Council's partners understand boards' needs, and they know the characteristics of effective directors and cohesive boards. The fact that they also mentor their new placements--going above and beyond current industry practices--is a major reason we engaged the Council."

->Dennis Carey, Vice Chairman of Spencer Stuart, said:"As demand surges for new, independent board members, The Directors' Council provides a needed service by augmenting the pool of qualified women and minority directors. The founders of The Directors' Council are all seasoned corporate directors and are very knowledgeable about the attributes of an effective director."

->Don Fites, retired Chairman & CEO of Caterpillar, Inc. and Chairman of the governance committee at AT&T Wireless, said: "We retained The Directors' Council to find an independent director for the AT&T Wireless board, and they quickly presented us with a diverse and well-qualified group of talented women. John Zeglis, our CEO, and I both agreed that this was one of the most impressive and thoroughly researched group of candidates we have ever reviewed. I look forward to working with The Directors' Council as they bring new talent, skills and greater diversity to corporate boards across the country."

->Ira
Millstein, senior partner at Weil, Gotshal & Manges,
said: "The Directors Council is an idea whose time has
come. Indeed it's overdue. This is not a search firm devoted
to the old fashioned notion that we must have "one" on
the Board. It is a unique firm devoted to placing an overlooked
pool of very talented people. Its methodology assures sensible
approaches, and its founders assure hands on quality and experience."